Tishman Speyer Properties to acquire "Metlife" building

Iconic 2.85 M Square Foot Property at 200 Park Avenue Joins Rockefeller Center, Chrysler Center and Others Among TSP’s Distinctive New York Properties

April 01, 2005

NEW YORK, NY – April 1, 2005 – Tishman Speyer Properties (TSP) announced today that it has finalized a deal to purchase the 2,850,971 square foot MetLife Building at 200 Park Avenue from MetLife, Inc. Valuation price of the transaction was $1.72 billion.

The property will be owned by a joint venture between TSP, the New York City Employees’ Retirement System (NYCERS) and the Teachers’ Retirement System (TRS), with additional financing provided by Lehman Brothers.

MetLife, Inc., which has owned the 58-story property since 1981, will maintain offices in the building and will also retain signage rights for the property.

Representing TSP in the transaction were Rob Speyer, Senior Managing Director overseeing TSP’s New York business; Steven Wechsler, Senior Managing Director for Capital Funds, Acquisitions, Dispositions, and Joint Venture Transactions; Paul Galiano, Senior Managing Director and Chief Financial Officer; and Isaac Zion, Senior Director of Acquisitions.

“The Met Life Building is not only a celebrated emblem of our City’s skyline, it is an epicenter for business in New York and around the world,” said Speyer. “This is a building that has it all – fantastic location, amazing views, distinguished design, and blue-chip tenants. We are thrilled to become a part of the history of this renowned property.”

“This was a transaction opportunity that rarely presents itself, and we are delighted that it has led to this significant acquisition for Tishman Speyer,” said Wechsler. “Given its size, storied design, access to transportation, and extremely high value as an enduring asset, this property is in a league with very few peers.”

“The Boards of Trustees of the New York City Employees’ Retirement System and New York City Teachers’ Retirement System have invested with Tishman Speyer because of its commitment to the City,” said New York City Comptroller William C. Thompson, Jr., who is investment advisor to, and custodian of, the Funds. “I believe this is a solid investment and one that contributes to the future of New York City and its vitality.”

The property is currently 100 percent occupied. Among its largest tenants are financial giants Dreyfus and Barclay’s, and the law firms Greenberg Traurig, Winston & Strawn, and Gibson Dunn & Crutcher. The property also contains retail, restaurant, and service venues in its concourse, which connects to grand Central Terminal.

The building, known as the Pan Am Building until 1992, was designed by Richard Roth of Emery Roth & Sons and was completed in 1963. It is located between East 45th Street and Grand Central Terminal, and is centered on the Park Avenue axis, with Avenue roadways passing on both sides of the property.

Tishman Speyer Properties is one of the leading owners, developers, and operators of first class real estate in the world. Since its founding in 1978, the company has acquired or developed a portfolio of over 65 million square feet, valued at over $16 billion. Tishman Speyer’s reputation for globally recognized properties includes such well-known icons as New York City’s Chrysler Building and Rockefeller Center, London’s Milbank Tower and Tower Place, Frankfurt’s MesseTurm, Berlin’s Sony Center and São Paulo’s North Tower.

NYCERS and TRS are also partners with TSP in its ownership of the Lipstick Building and the New York Times Building in Manhattan as well as a three million square foot development site in Long Island City.